The investors place their buy or sell orders for the stocks to their brokers.

Every order consists of 4 important elements:

1. The type of order (buy order or sell order)
2. The number of shares to be brought or sold.
3. The price limit (The price at which the buyer or seller prefers to buy or sell)
4. The expiry date (The time limit for executing the order).

It is easy to denote if you are buying or selling a share and also it is easy to denote the number of shares you want to buy or sell.

But when it comes to setting the price limit, there are several methods to be doing it and there are several methods of deciding on the expiry date for the order.